The Pension Board of Lewisham Council is scheduled to meet on Tuesday 16 June 2026 to discuss a range of financial and operational matters concerning the Lewisham Pension Fund. Key topics anticipated for discussion include an update on investment pooling arrangements with London CIV, a review of the fund's financial performance and accounts, and the annual business plan for the upcoming year.

Pooling Update Report

A significant portion of the meeting is expected to be dedicated to a Pooling Update Report, detailing the Lewisham Pension Fund's transition to full investment pooling with London CIV (LCIV). This move aligns with government policy and regulatory requirements for Local Government Pension Scheme (LGPS) reforms, aiming for greater scale, stronger governance, and cost efficiency. The report is expected to outline the timeline of changes over the past two years, including the consolidation of LGPS assets into larger pools and the introduction of new governance structures.

The Pension Schemes Act 2026 establishes the legal framework for these reforms, requiring investment management to be undertaken by FCA-regulated asset pool companies. Administering authorities, such as Lewisham Council, are responsible for setting strategic asset allocation and responsible investment approaches, while pools like LCIV handle investment implementation, portfolio design, and execution.

The report is anticipated to confirm the Lewisham Pension Fund's transition to full investment pooling with LCIV, with a target of 100% of its assets managed by LCIV. This may include the transfer of the commercial property portfolio from Schroders to LCIV's Indirect Real Estate Pooling (IREP) fund, managed by CBRE Investment Management. The report may also note the admission of Buckinghamshire Council Pension Fund as a Partner Fund to LCIV.

General Update Report - Part One

This report is expected to provide the Board with updates on several general matters. It may include a review of the Pension Board's Terms of Reference, which are recommended for annual review. Draft Pension Fund accounts for the year ending 31 March 2026 may be presented, with an indication of net asset changes and the drivers of these changes. The report might note the fund's cashflow status, whether cashflow negative or positive, and how this is supported by investment returns. The asset allocation is likely to be described, indicating the weighting towards growth assets, particularly equities and alternative investments. The draft accounts are subject to external audit, with a potential publication date for the final report.

An update from the pension administration team may cover several key projects. The Dashboard Integrated Service Provider (ISP) project, enabling connection to the national pension dashboard, may be reported as complete. The new Members Self-Service (MSS) portal may be noted as having soft-launched, with a hard launch planned later in the year. Progress on McCloud remedy calculations for Annual Benefit Statements may be discussed, including any challenges encountered. End-of-year accounting and processing may be reported as complete, and the audit of the 2025/26 accounts may be noted as ongoing.

The report may also include a review of the Risk Register, which is designed based on a template from The Pensions Regulator. Key risks identified as elevated and requiring active monitoring may be listed, including investment pooling risk, manager underperformance risk, liquidity risk, and cyber security risk. ESG and climate-related risks may also be noted as being actively managed through the Fund's net zero strategy.

Annual Business Plan 2026-27

This report is expected to outline the business of the Pension Investment Committee (PIC) and the Pension Board for 2026/27, including key documents to be considered, major milestones, and training requirements. The plan may reiterate the Fund's high-level objectives: to optimise Fund returns within a prudent level of risk, ensure sufficient resources to meet liabilities, and ensure the suitability of assets. It may also detail the governance structure, with responsibility delegated to the PIC and officers, supported by the Director of Finance, Treasury and Investment Manager, and Head of Payroll and Pensions.

The plan may list key policy and strategy documents requiring regular review, including the Annual Report, Governance Compliance Statement, Funding Strategy Statement, Investment Strategy Statement, and Communications Policy. Major milestones for 2026/27 may be outlined, such as the review of the Annual Business Plan, quarterly updates on LGPS reform and pooling with London CIV, and the presentation of Pension Fund Accounts and the Annual Report. The plan may also detail training requirements, including induction for new members, completion of The Pensions Regulator's Public Service Toolkit, and attendance at seminars and conferences.

Work Programme

The Board may be asked to note the Work Programme as at June 2026, which outlines operational and strategic items scheduled for the upcoming quarters. This may include updates on Pension Fund Accounts, the Annual Report, monitoring of investment performance, LCIV pooling updates, the Risk Register, review of Terms of Reference and Membership, the Annual Business Plan, and updates on The Pensions Regulator's General Code of Practice.

General Report - Part Two

This item is scheduled to be considered in closed session due to the likely disclosure of exempt information.

Future Meeting Dates

The Board is expected to note the dates for future Pension Board meetings: 21 September 2026 and 7 December 2026.